Goldman Sachs (NYSE:GS) issued $66.5 million in structured notes linked to gold, as prices continue to break all-time records and solid support continuing for the precious metal.
There is no interest on the notes, as investors receive profits at maturity, with a price cap of 17 percent. The securities, which were sold on October 1, are for one year. JPMorgan Chase (NYSE:JPM) is the distributor for Goldman.
Investors in the notes have their principal protected at maturity unless prices drop by over 20 percent below the entry level price of $1,316.25 on any given day.
The notes aren't backed by gold bullion as ETFs are, but by the credit of Goldman.
The securites issued by Goldman are basically bonds bundled with derivatives. Investors reportedly have been buying them as a brisk pace.
Bloomberg data show structured note linked to gold have grown to $109.8 million in September, over three times the $35.6 million issued in August.
Showing posts with label Gold ETF. Show all posts
Showing posts with label Gold ETF. Show all posts
Thursday, October 7, 2010
Wednesday, June 23, 2010
SPDR Gold Trust (NYSE:GLD) Continues Record Amount of Gold Held
The SPDR Gold Trust (NYSEArca:GLD) reached record levels of gold they hold again, as on their website they show they've increased their gold holdings to 1,313.13 metric tons as the close of the trading session on Tuesday. It rose slightly to 1,313.14 metric tons about 12:30 PM EDT on Wednesday.
So far in 2010, the gold ETF has increased by 13.2 percent, and is valued at $52.2 billion, while holding assets worth $38.54 billion.
Since the latter part of 2009, the fund has added close to 180 metric tons of gold to its holdings.
So far in 2010, the gold ETF has increased by 13.2 percent, and is valued at $52.2 billion, while holding assets worth $38.54 billion.
Since the latter part of 2009, the fund has added close to 180 metric tons of gold to its holdings.
Thursday, May 27, 2010
SPDR Gold Trust (NYSE:GLD) Offering 239 Million More Shares
SPDR Gold Trust (NYSE:GLD) has filed with the SEC for a follow-on offering of 239.3 million shares, a huge 57.5 percent increase in shares of the gold ETF.
Shares available now are 416.4 million, and after the offering, would increase to 655.7 million.
This could temporarily dilute the share value in the company, but the extraordinary demand for gold should help balance that off and overall increase the value of the company, and it shouldn't take long for the added number of shares to retain and increase in value.
SPDR ended Thursday session at $118.69, up $0.22, or 0.19 percent.
Shares available now are 416.4 million, and after the offering, would increase to 655.7 million.
This could temporarily dilute the share value in the company, but the extraordinary demand for gold should help balance that off and overall increase the value of the company, and it shouldn't take long for the added number of shares to retain and increase in value.
SPDR ended Thursday session at $118.69, up $0.22, or 0.19 percent.
Tuesday, May 25, 2010
SPDR Gold Trust (NYSE:GLD) Record Holdings, Increased Short Interest
SPDR Gold Trust (NYSE:GLD) continues to increase their holdings at a record level, as each time the add to their physical holdings, they are now breaking a record, although occasionally they do divest of gold for a variety of reasons.
I doubt if we'll see much of that going forward though, as demand for physical gold continues to go up in the face of the devaluing of currencies around the world and potential social unrest, which has already begun in some nations.
For SPDR, they continue to move in step with gold prices, and there was also an increased short interest in the gold ETF in the first half of May, with close to 29 million shares being shorted, up from around 14 million shares from the last reporting period.
Physical holdings in gold as of about 6:50 p.m. EST, stood at 1,267.32 tons, or 40,745,654.26, another all-time record.
The value of the gold at today's gold prices is $48,806,853,742.68.
I doubt if we'll see much of that going forward though, as demand for physical gold continues to go up in the face of the devaluing of currencies around the world and potential social unrest, which has already begun in some nations.
For SPDR, they continue to move in step with gold prices, and there was also an increased short interest in the gold ETF in the first half of May, with close to 29 million shares being shorted, up from around 14 million shares from the last reporting period.
Physical holdings in gold as of about 6:50 p.m. EST, stood at 1,267.32 tons, or 40,745,654.26, another all-time record.
The value of the gold at today's gold prices is $48,806,853,742.68.
Wednesday, May 12, 2010
SPDR Gold Trust (NYSE:GLD) Performing Great for Investors
The SPDR Gold Trust (NYSE:GLD) was created to move in step with the price of gold bullion, and it continues to do that, moving in step with the increasing price of gold, starting the year at about $88 a share, and now over $121 a share as I write.
Now that sPDR has broke through the $120 mark, and with the sovereign debt crisis in Europe and China inflation, gold is sure to continue up its upwards trajectory, and SPDR Gold Trust will respond accordingly.
Gold ETFs continue to be an important part of investors' portfolios, and SPDR is extremely simple, inexpensive and in the right place at the right time for those wanting to protect their assets from the enormous risks in the market.
Now that sPDR has broke through the $120 mark, and with the sovereign debt crisis in Europe and China inflation, gold is sure to continue up its upwards trajectory, and SPDR Gold Trust will respond accordingly.
Gold ETFs continue to be an important part of investors' portfolios, and SPDR is extremely simple, inexpensive and in the right place at the right time for those wanting to protect their assets from the enormous risks in the market.
Thursday, April 8, 2010
SPDR Gold (NYSEArca:GLD) Record Bullion Holdings
SPDR Gold Trust
Gold bullion held by SPDR Gold Trust (NYSEArca:GLD) has reached record levels, as the exchange-traded fund added 9.7 metric tons of gold to its reserves, the highest ever held by the ETF.
Holding as of Thursday for SPDR stand at 1,140.43 tons after adding the physical gold to their holdings.
The increase in gold was the largest addition in over six months, and represented an increase of 0.9 percent.
SPDR said their net asset value stands at $42.09 billion.
Gold bullion held by SPDR Gold Trust (NYSEArca:GLD) has reached record levels, as the exchange-traded fund added 9.7 metric tons of gold to its reserves, the highest ever held by the ETF.
Holding as of Thursday for SPDR stand at 1,140.43 tons after adding the physical gold to their holdings.
The increase in gold was the largest addition in over six months, and represented an increase of 0.9 percent.
SPDR said their net asset value stands at $42.09 billion.
Thursday, April 1, 2010
George Soros and Secret Gold Bull Market Goes On
Secret Gold Bull Market
One of the reasons the assertion that gold is an ultimate bubble by George Soros makes little sense, is he possibly doesn't understand what's really going on in the markets, or he's being the sly fox he is as far as investing goes.
For example, Soros was saying this on one side of his mouth while investing millions in gold mining companies and gold ETFs. So I think Soros was attempting to do some manipulating of the minds there in order to move the market and thoughts in the direction he wants it to go.
The reasoning behind this is Soros almost assuredly knows the general public hasn't been investing in gold, and know very little about it and don't have much interest in it.
Until they come on board in hoards, there's little chance of a gold bubble bursting, as there isn't a bubble without the public entering into the gold investing market.
In reality, most of us who follow gold closely sometimes aren't aware that what is common and everyday to us is mysterious and unknown to the average investor, at least in the Western world.
By the time the average investor comes in, which still may take some time, gold will be much higher and it'll be taken to levels that aren't sustainable and above market prices. That's when we'll have an ultimate bubble.
Until that time, the fundamentals, along with the foibles of central banks and governments around the world are what we need to be concerned with watching.
Once the general public starts to enter the market, that's when we need to be weary. That hasn't happened yet, and I think things will have to get worse, or they get more educated as to why gold is important, before they do come in in droves.
Unfortunately for the uneducated in gold, they'll experience something similar to the housing market because they just can't leave the herd mentality and do the type of research which puts them ahead of the game.
Secret Gold Bull Market
One of the reasons the assertion that gold is an ultimate bubble by George Soros makes little sense, is he possibly doesn't understand what's really going on in the markets, or he's being the sly fox he is as far as investing goes.
For example, Soros was saying this on one side of his mouth while investing millions in gold mining companies and gold ETFs. So I think Soros was attempting to do some manipulating of the minds there in order to move the market and thoughts in the direction he wants it to go.
The reasoning behind this is Soros almost assuredly knows the general public hasn't been investing in gold, and know very little about it and don't have much interest in it.
Until they come on board in hoards, there's little chance of a gold bubble bursting, as there isn't a bubble without the public entering into the gold investing market.
In reality, most of us who follow gold closely sometimes aren't aware that what is common and everyday to us is mysterious and unknown to the average investor, at least in the Western world.
By the time the average investor comes in, which still may take some time, gold will be much higher and it'll be taken to levels that aren't sustainable and above market prices. That's when we'll have an ultimate bubble.
Until that time, the fundamentals, along with the foibles of central banks and governments around the world are what we need to be concerned with watching.
Once the general public starts to enter the market, that's when we need to be weary. That hasn't happened yet, and I think things will have to get worse, or they get more educated as to why gold is important, before they do come in in droves.
Unfortunately for the uneducated in gold, they'll experience something similar to the housing market because they just can't leave the herd mentality and do the type of research which puts them ahead of the game.
Secret Gold Bull Market
Wednesday, March 31, 2010
Is SPDR Gold Shares (NYSE:GLD) Still Good Investment?
SPDR Gold Shares Good Investment?
With many well-known investors continuing to put a large amount of their money in gold, the question becomes whether or not an ETF like SPDR Gold Shares (NYSE:GLD) is still a good investment.
I bring it up like that because many of the major investors with a large position in gold bought it at lower prices, and now gold seems to be remaining tight around the $1,100 level, seeming to imply it's going to move forward incrementally rather than in huge swings. That is probably a good thing for most investors.
But as far as SPDR Gold Shares, it can really be simplified as to the answer to the question if it's still a good investment for you. The think to ask is this: Is gold still a good investment? If the answer for you is yes, the answer for SPDR Gold Shares should also be yes.
I think in the current gold environment we'll have to take a longer time-frame than possibly in the past with SPDR, but again, I think that's more healthy than the huge gains it made in a relatively short time.
From November 2008, when the gold ETF dropped as low as $70 a share till now, it has gained almost $40 a share, a nice move by any metric used.
With many well-known investors continuing to put a large amount of their money in gold, the question becomes whether or not an ETF like SPDR Gold Shares (NYSE:GLD) is still a good investment.
I bring it up like that because many of the major investors with a large position in gold bought it at lower prices, and now gold seems to be remaining tight around the $1,100 level, seeming to imply it's going to move forward incrementally rather than in huge swings. That is probably a good thing for most investors.
But as far as SPDR Gold Shares, it can really be simplified as to the answer to the question if it's still a good investment for you. The think to ask is this: Is gold still a good investment? If the answer for you is yes, the answer for SPDR Gold Shares should also be yes.
I think in the current gold environment we'll have to take a longer time-frame than possibly in the past with SPDR, but again, I think that's more healthy than the huge gains it made in a relatively short time.
From November 2008, when the gold ETF dropped as low as $70 a share till now, it has gained almost $40 a share, a nice move by any metric used.
Sunday, February 15, 2009
Gold ETFs Acquiring Record Tons of Gold
SPDR Gold Trust GLD.PGLD.A, also known as GLD, asserts the gold bullion it owns has risen by over 100 tons to 970.57 tons recently, which marked the largest weekly increase in the history of the gold-backed exchange-traded fund.
SPDR Gold Trust, the world's largest gold-backed ETF, said its holdings rose nearly 5percent on to record levels. Gold prices surged, implying significant buying.
Investors who are expecting years of inflation and worldwide economic volatility are pouring money into securities backed by gold bullion, helping turn what has been a safe haven into a mainstream asset class.
GLD is now the second biggest U.S. ETF, with market value of $27.5 billion, which ranks it behind only the popular SPDR S&P 500. GLD owns at this time more gold bullion than the entire government of Japan, according to the World Gold Council.
Another big gold ETF player, COMEX Gold Trust IAU.P, said its holdings also rose to a record high 70 tons.
Gold ETFs are listed on stock exchanges and offer investors exposure in bullion without having to take physical delivery. Sponsors of the funds buy a matching amount of physical gold and keep it in bank vaults.
The extraordinary rally in bullion originates from the inflationary expectation arising from the U.S. government's misguided borrowing of over $2 trillion to finance a bank rescue plan and to enact a pathetic package to stimulate the world's biggest economy in efforts to reverse a global slowdown.
While there was recent talk about a shortage of physical gold bullion as more investors turned to gold as a safe haven, that doesn't seem to be the case, as some say there are not any problems at all for gold ETF authorized dealers to acquire gold bars to create new shares.
The existing low yield of currencies and U.S. Treasury bonds because of stimulus plans by central banks made gold - which produces no interest - more attractive to investors.
SPDR Gold Trust, the world's largest gold-backed ETF, said its holdings rose nearly 5percent on to record levels. Gold prices surged, implying significant buying.
Investors who are expecting years of inflation and worldwide economic volatility are pouring money into securities backed by gold bullion, helping turn what has been a safe haven into a mainstream asset class.
GLD is now the second biggest U.S. ETF, with market value of $27.5 billion, which ranks it behind only the popular SPDR S&P 500. GLD owns at this time more gold bullion than the entire government of Japan, according to the World Gold Council.
Another big gold ETF player, COMEX Gold Trust IAU.P, said its holdings also rose to a record high 70 tons.
Gold ETFs are listed on stock exchanges and offer investors exposure in bullion without having to take physical delivery. Sponsors of the funds buy a matching amount of physical gold and keep it in bank vaults.
The extraordinary rally in bullion originates from the inflationary expectation arising from the U.S. government's misguided borrowing of over $2 trillion to finance a bank rescue plan and to enact a pathetic package to stimulate the world's biggest economy in efforts to reverse a global slowdown.
While there was recent talk about a shortage of physical gold bullion as more investors turned to gold as a safe haven, that doesn't seem to be the case, as some say there are not any problems at all for gold ETF authorized dealers to acquire gold bars to create new shares.
The existing low yield of currencies and U.S. Treasury bonds because of stimulus plans by central banks made gold - which produces no interest - more attractive to investors.
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